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V2625-24 19 December 2024 · SG de Impuestos sobre la Renta de las Personas Físicas Criterion in force
IRPF · rendimientos del trabajo

MUFACE contributions are deductible from employment income for Income Tax purposes

A civil servant subject to the General Social Security Regime enquired whether their mandatory MUFACE contributions were deductible in their Income Tax return. The Directorate-General for Taxes (DGT) ruled that both contributions, to Social Security and to the mutual insurance scheme, constitute deductible expenses.

The question raised

Whether the mandatory contribution quota corresponding to MUFACE is a tax-deductible expense in the Personal Income Tax (IRPF) return, given that the individual is assigned to the General Social Security Regime.

The DGT's ruling

Social Security contribution quotas and mandatory general mutual funds for civil servants are considered deductible expenses from gross employment income. This is based on Article 19.2, letter a), of Law 35/2006 (LIRPF).

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